Telsey Advisory Group upgraded Kohl's Corp. (NYSE: KSS) from Market Perform to Outperform.
The price target for Kohl's has been raised from $68.00 to $80.00.
Kohl's shares have climbed 27.59% over the past 52 weeks, while the S&P 500 index has...

NEW YORK (TheStreet) -- RATINGS CHANGES
CBOE
was downgraded to neutral from buy at Bank of America/Merrill Lynch. $63 12-month price target. The company is seeing lighter volume trends, said BofA/Merrill.
Crane
was downgraded to market...

Most retailers came out with better-than-expected numbers this earnings season and one important factor that fueled that, according to Cowen Group retail analyst Oliver Chen was lower fuel prices.
Chen was on CNBC Thursday to discuss the...

NEW YORK (TheStreet) -- Kohl's Corp
is scheduled to release its 2014 fourth quarter earnings results before the market open on Thursday morning.
Analysts are expecting the family-oriented department store, which sells a range of items from...

Oops! Unable to complete your request. Please refresh your browser.

See earlier news

Suggest other news sources for this topic

Topic

Top news source/blog that we're missing

Why do you recommend this news source?

RELATED WIKI ARTICLES

Related Articles

Kohl’s (NYSE: KSS) is a U.S. department store chain that sells a mix of items including men's and women's apparel, home decor, and accessories. The department store appeals to middle-class consumers by selling discounted branded and private label clothing and home goods. Kohl's is in the same category of national department store competitors such as J.C. Penney (JCP) and Macy's Inc. (M).

Kohl's is vulnerable to a weak U.S. economy and declining consumer spending because the company has no stores outside of the US and does not have an international presence to serve as a buffer to fluctuations in the US economy. However, Kohl's discounted pricing allows it to ride out tough economic times better than its competitors.

Company Overview

Business Financials

Business Segments

Kohl's reports its sales in six different business segments:

Women's (32% o

Home (18% of net sales)

Children's (13% of net sales)

Accessories (10% of net sales)

Footwear (8% of net sales)

Kohl's stores and e-commerce site carries a variety of clothing, accessories and home goods. The company's merchandise offerings include products from branded manufacturers, such as Nike, in addition to exclusive and [[private labr Vera Wang and the Chaps brand that Kohl's offers exclusively from Polo Ralph Lauren (RL).

Trends and Forces

Exclusive and private label merchandise account for almost half of Kohl's sales, a figure Kohl's has worked to increase by adding new exclusive brands like Helix, Mudd, Dana Buchman, and Hang Ten.

Department stores are increasingly seeking to distinguish themselves and earn higher profit margins by offering exclusive brands and private label brands. Exclusive brands are brands marketed under the wholesaler's name that are sold only in a particular chain; one exclusive brand at Kohl's is the Chaps line by Polo Ralph Lauren (RL). Private label brands are produced by wholesalers, but sold under the brand name of the retailer. Exclusive brands such as Simply Vera by fashion designer Vera Wang, can help draw customers into Kohl's stores, as the products can only be found at Kohl's. Kohl's own private label products are typically priced lower than branded merchandise, but have a higher profit margin for Kohl's as the retailer is able to receive the good at a lower cost by avoiding branded manufacturers.

Higher Raw Materials Costs May Force An Increase In Clothing Prices

In a recovering economy, the last thing that consumers want is higher prices, especially on necessities like clothing. Many in the fashion industry are expecting price increases of as much as $2 for a t-shirt. As consumers ease back into discretionary spending, higher clothing prices delay the recovery as they discourage spending. Companies like Kohl's rely on consumers spending money on clothes, and if higher prices discourage consumer spending, the company's bottom line will suffer due to these significant factors.
blab

Kohl's primary competitors are moderate-priced department stores, J.C. Penney (JCP), Macy's Inc. (M) and Sears Holdings (SHLD). Kohl's main points of differentiation from these other companies is Kohl's usage of the off-mall store model and low prices. These factors have played key roles in Kohl's ability to cope with recessionary environment while its competitors have lost more sales than Kohl's as shoppers trade down and visit malls less frequently.